81_FR_21535 81 FR 21465 - Servicemembers' Group Life Insurance and Veterans' Group Life Insurance-Slayer's Rule Exclusion

81 FR 21465 - Servicemembers' Group Life Insurance and Veterans' Group Life Insurance-Slayer's Rule Exclusion

DEPARTMENT OF VETERANS AFFAIRS

Federal Register Volume 81, Issue 70 (April 12, 2016)

Page Range21465-21468
FR Document2016-08381

The Department of Veterans Affairs adopts as final, without change, the final rule seeking comments published on October 3, 2012, amending its regulations governing Servicemembers' Group Life Insurance (SGLI) and Veterans' Group Life Insurance (VGLI). Specifically, this rule prohibits paying insurance proceeds because of the death of a person (decedent) whose life was insured under SGLI or VGLI, or paying a SGLI Traumatic Injury Protection (TSGLI) benefit to a person (slayer) convicted of intentionally and wrongfully killing the decedent or determined in a civil proceeding to intentionally and wrongfully killing the decedent. This prohibition of payment also applies to any family member of the slayer who is not related to the decedent and to any person who assisted the slayer in causing the death of the decedent. Additionally, the term ``domestic partner'' is removed from the definition of ``member of the family''.

Federal Register, Volume 81 Issue 70 (Tuesday, April 12, 2016)
[Federal Register Volume 81, Number 70 (Tuesday, April 12, 2016)]
[Rules and Regulations]
[Pages 21465-21468]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2016-08381]


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DEPARTMENT OF VETERANS AFFAIRS

38 CFR Part 9

RIN 2900-AN40


Servicemembers' Group Life Insurance and Veterans' Group Life 
Insurance--Slayer's Rule Exclusion

AGENCY: Department of Veterans Affairs.

ACTION: Final rule.

-----------------------------------------------------------------------

SUMMARY: The Department of Veterans Affairs adopts as final, without 
change, the final rule seeking comments published on October 3, 2012, 
amending its regulations governing Servicemembers' Group Life Insurance 
(SGLI) and Veterans' Group Life Insurance (VGLI). Specifically, this 
rule prohibits paying insurance proceeds because of the death of a 
person (decedent) whose life was insured under SGLI or VGLI, or paying 
a SGLI Traumatic Injury Protection (TSGLI) benefit to a person (slayer) 
convicted of

[[Page 21466]]

intentionally and wrongfully killing the decedent or determined in a 
civil proceeding to intentionally and wrongfully killing the decedent. 
This prohibition of payment also applies to any family member of the 
slayer who is not related to the decedent and to any person who 
assisted the slayer in causing the death of the decedent. Additionally, 
the term ``domestic partner'' is removed from the definition of 
``member of the family''.

DATES: Effective Date: This final rule is effective April 12, 2016.

FOR FURTHER INFORMATION CONTACT: Monica Keitt, Attorney/Advisor, 
Department of Veterans Affairs, Insurance Center, 5000 Wissahickon 
Avenue, Philadelphia, PA 19144, (215) 842-2000, ext. 2905. (This is not 
a toll-free number.)

SUPPLEMENTARY INFORMATION: On October 3, 2012, VA published in the 
Federal Register (77 FR 60304) a final rule seeking comments that 
amended 38 CFR 9.1 and 9.5 to prevent certain persons from receiving 
insurance proceeds through the SGLI, VGLI, or TSGLI program as 
beneficiaries. The rule prevents payment of proceeds to any persons 
(slayer) found criminally or civilly liable for intentionally and 
wrongfully killing a person (decedent) insured under SGLI or VGLI or 
who is eligible for a TSGLI benefit. It also prevents payment to any 
persons found criminally or civilly liable for assisting or aiding such 
a slayer and any member of the slayer's family who is not related to 
the decedent by blood, legal adoption, or marriage. In a proposed rule 
published on December 13, 2011, (76 FR 77455), ``domestic partner'' was 
added to the definition of ``member of the family'' in 38 CFR 9.1(l) 
for the purposes of 38 CFR 9.5(e) to prevent unjust enrichment of 
persons who are domestic partners of the slayer based on the rationale 
that these persons are often in relationships with the slayer 
equivalent to being ``relatives'' of the slayer. Then, in the final 
rule published on October 3, 2012, VA removed the term ``domestic 
partner'' from the definition of ``member of the family'' for the 
purposes of Sec.  9.5(e) ``due to the unsettled legal landscape 
surrounding the recognition of such partnerships''. 77 FR at 60305. VA 
explained that because recognition of the legality of such 
relationships varies from state to state, VA determined that including 
such partnerships in this part would cause an undue administrative 
burden. Interested persons were invited to submit, on or before 
December 3, 2012, written comments regarding removing the term 
``domestic partner'' from the definition. VA received comments from 
three individuals objecting to removing the term.

Public Comments Regarding Removal of the Term ``Domestic Partner''

    Two commenters noted that some federal agencies, including VA, have 
expanded their program definitions of family members to include 
domestic partners. One commenter noted that a Presidential Memorandum 
directed Federal agencies to extend certain benefits currently 
available to Federal employees' spouses and their children to Federal 
employees' same-sex domestic partners and their children. See 
Presidential Memorandum--Extension of Benefits to Same-Sex Domestic 
Partners of Federal Employees (June 2, 2010). One commenter noted that 
other Federal agencies, such as the General Services Administration, 
have established through regulations definitions of family members that 
include domestic partners.
    One commenter also stated that failure to include domestic partners 
in the definition of ``member of the family'' would allow a same-sex 
domestic partner of a slayer to circumvent the regulation, while 
prohibiting heterosexual spouses of a slayer from receiving insurance 
benefits. This commenter also stated that ``. . . [i]ncluding domestic 
partners is important to prevent an aberration in the rule . . .'' and 
to ``. . . prevent[ ] the unjust collection of life insurance 
benefits.''
    Two commenters noted that the Department of Defense changed its 
military policies regarding openly gay and lesbian servicemembers, thus 
VA should change its policy here, since VA is a related agency that 
serves servicemembers and their families.
    Two commenters also noted that VA has recognized domestic 
partnerships in other VA related matters. Specifically, the commenters 
pointed to VA's hospital visitation policy allowing persons designated 
as domestic partners to be beneficiaries for SGLI and VGLI benefits.
    Lastly, one commenter noted that removal of the term domestic 
partner ``sends a message that VA may not be willing to recognize 
domestic partners as family in any context.'' However, recent Supreme 
Court cases and the United States Attorney General help to clarify 
legally accepted definitions. On June 26, 2013, the Supreme Court in 
United States v. Windsor, 133 S. Ct. 2675 (2013), held that the Defense 
of Marriage Act (DOMA), Sec. 3, Public Law 104-199, 110 Stat. 2419, 
defining ``marriage'' and ``spouse'' for purposes of federal law to 
preclude recognition of marriages of same-sex couples, is 
unconstitutional because it violates Fifth Amendment principles by 
discriminating against same-sex couples who are legally married under 
state law. VA administers federal benefits and programs that require 
defining ``spouse'' and ``surviving spouse.'' For purposes of VA 
benefits, 38 U.S.C. 101(3) and 101(31) define ``surviving spouse'' and 
``spouse'' as persons ``of the opposite sex.'' However these 
definitions (codified separately from DOMA) were not specifically 
addressed in the Supreme Court's Windsor decision. Then on September 4, 
2013, the United States Attorney General announced that the President 
had directed the Executive Branch to cease enforcement of 38 U.S.C. 
101(3) and 101(31), to the extent they preclude provision of veterans' 
benefits to same-sex married couples, but was silent as to ``domestic 
partners''. Accordingly, VA ceased to enforce the definitional 
provisions in title 38 to the extent they preclude provision of 
veterans' benefits, including SGLI, VGLI, and TSGLI benefits, to same-
sex married couples. As a result, VA administers spousal and survivors' 
benefits to same-sex married couples, provided the marriages meet the 
requirements of 38 U.S.C. 103(c). Section 103(c) provides that, for 
purposes of all laws administered by VA, a veteran's marriage is to be 
recognized according to the law of the place where the parties resided 
at the time of the marriage or the law of the place where the parties 
resided when the right to benefits accrued.
    On June 26, 2015, the Supreme Court in Obergefell v. Hodges, 135 S. 
Ct. 2584 (2015), held that the Fourteenth Amendment of the U.S. 
Constitution requires a state to license a marriage between two people 
of the same sex and to recognize a marriage between two people of the 
same sex when their marriage was lawfully licensed and performed out-
of-state, but again did not include ``domestic partners''. Accordingly, 
VA now recognizes all lawful same-sex marriages for VA purposes.
    In light of Windsor and Obergefell, VA no longer enforces the title 
38 definitions of ``spouse'' and ``surviving spouse'' to the extent 
that they exclude the recognition of same-sex married couples. However, 
In other words, VA provides benefits to all same-sex ``spouses'' and 
``surviving spouses'' of veterans or, in the case of insurance 
benefits, of servicemembers or former servicemembers, to the extent 
they are otherwise eligible, based on a State's recognition of the 
validity of the

[[Page 21467]]

marriage. However, VA does not currently provide all the same spousal 
benefits to either same-sex or opposite-sex domestic partners of 
veterans or, in the case of insurance benefits, of servicemembers or 
former servicemembers.
    The comments we received essentially concern equal treatment of 
same-sex couples and opposite-sex couples. The Supreme Court in Windsor 
and Obergefell accomplished that with regard to marriages but did not 
address other relationships, such as domestic partnerships or legal 
unions. Thus, those decisions do not affect VA's decision to remove 
``domestic partner'' from the Sec.  9.1(l) definition of ``member of 
the family.'' Windsor and Obergefell have not changed the unsettled 
legal landscape surrounding the recognition of both same-sex and 
opposite-sex domestic partnerships. For instance, recognition of the 
legality of domestic partnerships continues to vary from state to state 
and, because the term is not used consistently from state to state, 
there remains inter-jurisdictional confusion regarding use of that 
term. Therefore, including domestic partnerships, of both same-sex 
couples and opposite-sex couples, in the definition of ``member of the 
family'' in Sec.  9.1(l) would cause an undue administrative burden in 
applying 38 CFR 9.5(e).
    Two commenters suggested that VA could establish its own uniform 
definition of ``domestic partnership'' rather than relying upon varying 
state laws. The commenters pointed to regulations of other federal 
agencies establishing definitions of ``domestic partnerships.'' We 
decline that suggestion for the following reasons. First, it would 
create inconsistency between VA's recognition of marriages, which, 
under 38 U.S.C. 103(c), is expressly based on state laws recognizing 
marriages, and VA's recognition of domestic partnerships or civil 
unions, which, under the commenters' suggestion, could be inconsistent 
with state laws governing recognition of such relationships. Second, 
defining the term ``domestic partner'' without regard to state law 
would require VA to undertake difficult and burdensome fact-finding 
actions under imprecise standards. We note that the other agency 
regulations cited by the commenters are varied and often employ vague 
and subjective standards, such as requiring a finding that the 
individuals are in a ``committed relationship'' or ``agree to be 
responsible for each other's common welfare,'' which may lead to 
inconsistency in application. Third, VA likely would face difficulty in 
developing evidence to establish that such standards are satisfied. The 
primary evidence of whether individuals were in a ``committed 
relationship'' often may be the testimony of the individuals in that 
relationship. Such evidence may be difficult to obtain or may be 
unreliable in relation to this rule, which, unlike the examples cited 
by the commenters, would preclude, rather than extend, benefits based 
upon the relationship.
    Regarding a comment that excluding domestic partnerships from the 
definition of ``family members'' may result in unjust enrichment to 
certain domestic partners of persons causing the death of an insured 
individual, we acknowledge that this is a potential consequence of the 
rule. However, the alternative standards we have considered, including 
following varied state laws governing domestic partnerships or 
establishing our own definition of ``domestic partnership'' based in 
part on subjective standards, would also pose a risk of yielding 
inconsistent results and possibly allowing unjust enrichment to certain 
individuals in specific cases. We believe we have appropriately 
balanced those risks with the interests of clarity, consistency, and 
administrative efficiency in determinations made under this rule. 
Accordingly, VA declines to make any changes to this rulemaking based 
on the above comments.

Justification for the Final Rule Seeking Comments

    One commenter noted that VA failed to provide good cause for 
dispensing with advance public notice and the opportunity for public 
comment. Specifically, the commenter stated that VA failed to provide a 
sufficient justification for citing ``public interest'' and 
``impracticability'' as reasons for proceeding without providing an 
opportunity for advance notice and comment. We correctly identified 
public interest as grounds for proceeding with final rule seeking 
comments, but could have been clearer in explaining that it would have 
been against the public's interest to delay implementation of the 
slayer provisions for the purpose of receiving comments on the 
definition of ``member of the family.'' We designed the rule to prevent 
slayers from benefiting from their wrongdoing, and any delay in 
finalizing the rule would have potentially permitted slayers to receive 
benefits in violation of public policy and ethical concerns. 
Nonetheless, on October 3, 2012, VA provided the public formal notice 
and an opportunity to comment on the exclusion of the term ``domestic 
partner'' through publication of the final rule seeking comments. VA 
received comments on the exclusion, and we considered those comments in 
issuing this final rule. Additionally, we note that, since the 
publication of the October 3, 2012, rule, no case has been affected by 
the exclusion of ``domestic partner'' from the definition of ``member 
of the family.''
    Based on the rationale set forth above and the preamble in the 
final rule seeking comments, VA adopts, without change, the rule 
published on October 3, 2012, at 77 FR 60304.

Unfunded Mandates

    The Unfunded Mandates Reform Act of 1995 requires, at 2 U.S.C. 
1532, that agencies prepare an assessment of anticipated costs and 
benefits before issuing any rule that may result in an expenditure by 
State, local, and tribal governments, in the aggregate, or by the 
private sector, of $100 million or more (adjusted annually for 
inflation) in any one year. This final rule will have no such effect on 
State, local, and tribal governments or on the private sector.

Paperwork Reduction Act

    This final rule contains no provisions constituting a collection of 
information under the Paperwork Reduction Act of 1995 (44 U.S.C. 3501-
3521).

Executive Orders 12866 and 13563

    Executive Orders 12866 and 13563 direct agencies to assess the 
costs and benefits of available regulatory alternatives and, when 
regulation is necessary, to select regulatory approaches that maximize 
net benefits (including potential economic, environmental, public 
health and safety effects, and other advantages; distributive impacts; 
and equity). Executive Order 13563 (Improving Regulation and Regulatory 
Review) emphasizes the importance of quantifying both costs and 
benefits, reducing costs, harmonizing rules, and promoting flexibility. 
Executive Order 12866 (Regulatory Planning and Review) defines a 
``significant regulatory action'' requiring review by the Office of 
Management and Budget (OMB), unless OMB waives such review, as ``any 
regulatory action that is likely to result in a rule that may: (1) Have 
an annual effect on the economy of $100 million or more or adversely 
affect in a material way the economy, a sector of the economy, 
productivity, competition, jobs, the environment, public health or 
safety, or State, local, or tribal governments or communities; (2) 
Create a serious inconsistency or

[[Page 21468]]

otherwise interfere with an action taken or planned by another agency; 
(3) Materially alter the budgetary impact of entitlements, grants, user 
fees, or loan programs or the rights and obligations of recipients 
thereof; or (4) Raise novel legal or policy issues arising out of legal 
mandates, the President's priorities, or the principles set forth in 
this Executive Order.''
    The economic, interagency, budgetary, legal, and policy 
implications of this regulatory action have been examined, and it has 
been determined not to be a significant regulatory action under 
Executive Order 12866. VA's impact analysis can be found as a 
supporting document at http://www.regulations.gov, usually within 48 
hours after the rulemaking document is published. Additionally, a copy 
of the rulemaking and its impact analysis are available on VA's Web 
site at http://www.va.gov/orpm/, by following the link for ``VA 
Regulations Published from FY 2004 Through Fiscal Year to Date.''

Regulatory Flexibility Act

    The Secretary of Veterans Affairs hereby certifies that this final 
rule will not have a significant economic impact on a substantial 
number of small entities as they are defined in the Regulatory 
Flexibility Act, 5 U.S.C. 601-612. This final rule will directly affect 
only individuals and will not directly affect any small entities. 
Therefore, this rulemaking is also exempt pursuant to 5 U.S.C. 605(b), 
from the initial and final regulatory flexibility analysis requirements 
of sections 603 and 604.

Catalog of Federal Domestic Assistance

    The Catalog of Federal Domestic Assistance number and title for the 
program affected by this document is 64.103, Life Insurance for 
Veterans.

Signing Authority

    The Secretary of Veterans Affairs, or designee, approved this 
document and authorized the undersigned to sign and submit the document 
to the Office of the Federal Register for publication electronically as 
an official document of the Department of Veterans Affairs. On April 6, 
2016, Robert D. Snyder, Chief of Staff, Department of Veterans Affairs, 
approved this document for publication.

List of Subjects in 38 CFR Part 9

    Life insurance, Military personnel, Veterans.

    Dated: April 7, 2016.
William F. Russo,
Director, Office of Regulation Policy & Management, Office of the 
General Counsel, Department of Veterans Affairs.

    For the reasons set forth out in the preamble, VA adopts the final 
rule seeking comments published in the Federal Register at 77 FR 60304 
on October 3, 2012, as final without change.

[FR Doc. 2016-08381 Filed 4-11-16; 8:45 am]
 BILLING CODE 8320-01-P



                                                                    Federal Register / Vol. 81, No. 70 / Tuesday, April 12, 2016 / Rules and Regulations                                              21465

                                                   (2) Coast Guard Patrol Commander                     FM marine band radio announcing                          The bridge owner, Connecticut
                                                means a commissioned, warrant, or                       specific event date and times.                        Department of Transportation, requested
                                                petty officer of the U.S. Coast Guard                     (d) Enforcement period. This section                a temporary deviation from the normal
                                                who has been designated by the                          will be enforced from 7:30 a.m. until                 operating schedule to perform
                                                Commander, Coast Guard Sector                           12:30 p.m. on May 14, 2016, and, if                   emergency repairs at the bridge.
                                                Baltimore.                                              necessary due to inclement weather,                      Under this temporary deviation, the
                                                   (3) Official Patrol means any vessel                 from 7:30 a.m. until 12:30 p.m. on May                Route 82 Bridge shall open on signal
                                                assigned or approved by Commander,                      15, 2016.                                             from April 18, 2016 to June 30, 2016,
                                                Coast Guard Sector Baltimore with a                                                                           Monday to Friday between 7 a.m. and
                                                                                                          Dated: March 31, 2016.
                                                commissioned, warrant, or petty officer                                                                       3 p.m. if at least two-hour notice is
                                                                                                        Lonnie P. Harrison, Jr.,
                                                on board and displaying a Coast Guard                                                                         given by calling the number posted at
                                                ensign.                                                 Captain, U.S. Coast Guard, Captain of the
                                                                                                        Port Baltimore.
                                                                                                                                                              the bridge.
                                                   (4) Participant means all persons and                                                                         Vessels able to pass under the bridge
                                                vessels participating in the Bay Bridge                 [FR Doc. 2016–08380 Filed 4–11–16; 8:45 am]
                                                                                                                                                              in the closed position may do so at
                                                Paddle event under the auspices of the                  BILLING CODE 9110–04–P
                                                                                                                                                              anytime. The bridge will not be able to
                                                Marine Event Permit issued to the event                                                                       open for emergencies and there is no
                                                sponsor and approved by Commander,                                                                            immediate alternate route for vessels to
                                                Coast Guard Sector Baltimore.                           DEPARTMENT OF HOMELAND
                                                                                                                                                              pass.
                                                   (c) Special local regulations. (1) The               SECURITY
                                                                                                                                                                 The Coast Guard will inform the users
                                                Coast Guard Patrol Commander may                                                                              of the waterways through our Local
                                                forbid and control the movement of all                  Coast Guard
                                                                                                                                                              Notice and Broadcast to Mariners of the
                                                vessels and persons, including event                                                                          change in operating schedule for the
                                                participants, in the regulated area.                    33 CFR Part 117
                                                                                                                                                              bridge so that vessel operations can
                                                When hailed or signaled by an official                                                                        arrange their transits to minimize any
                                                                                                        [Docket No. USCG–2016–0293]
                                                patrol, a vessel or person in the                                                                             impact caused by the temporary
                                                regulated area shall immediately                        Drawbridge Operation Regulation;                      deviation.
                                                comply with the directions given.                       Connecticut River, East Haddam, CT                       In accordance with 33 CFR 117.35(e),
                                                Failure to do so may result in expulsion                                                                      the drawbridge must return to its regular
                                                from the area, citation for failure to                  AGENCY: Coast Guard, DHS.
                                                                                                                                                              operating schedule immediately at the
                                                comply, or both. The Coast Guard Patrol                 ACTION:Notice of deviation from                       end of the effective period of this
                                                Commander may terminate the event, or                   drawbridge regulation.                                temporary deviation. This deviation
                                                the operation of any support vessel                                                                           from the operating regulations is
                                                participating in the event, at any time it              SUMMARY:    The Coast Guard has issued a
                                                                                                        temporary deviation from the operating                authorized under 33 CFR 117.35.
                                                is deemed necessary for the protection
                                                of life or property.                                    schedule that governs the Route 82                      Dated: April 6, 2016.
                                                   (2) Except for participants and vessels              Bridge across the Connecticut River,                  C.J. Bisignano,
                                                already at berth, mooring, or anchor, all               mile 16.8, at East Haddam, Connecticut.               Supervisory Bridge Management Specialist,
                                                persons and vessels within the regulated                This deviation is necessary to allow the              First Coast Guard District.
                                                area at the time it is implemented are to               bridge owner to perform emergency                     [FR Doc. 2016–08296 Filed 4–11–16; 8:45 am]
                                                depart the regulated area.                              repairs at the bridge.                                BILLING CODE 9110–04–P
                                                   (3) Persons desiring to transit the                  DATES: This deviation is effective from
                                                regulated area must first obtain                        7 a.m. on April 18, 2016 to 3 p.m. on
                                                authorization from the Captain of the                   June 30, 2016.                                        DEPARTMENT OF VETERANS
                                                Port Baltimore or Coast Guard Patrol                    ADDRESSES: The docket for this                        AFFAIRS
                                                Commander. Prior to the enforcement                     deviation, [USCG–2016–0293] is
                                                period, to seek permission to transit the               available at http://www.regulations.gov.              38 CFR Part 9
                                                area, the Captain of the Port Baltimore                 Type the docket number in the                         RIN 2900–AN40
                                                can be contacted at telephone number                    ‘‘SEARCH’’ box and click ‘‘SEARCH’’.
                                                410–576–2693 or on Marine Band                          Click on Open Docket Folder on the line               Servicemembers’ Group Life Insurance
                                                Radio, VHF–FM channel 16 (156.8                         associated with this deviation.                       and Veterans’ Group Life Insurance—
                                                MHz). During the enforcement period,                                                                          Slayer’s Rule Exclusion
                                                to seek permission to transit the area,                 FOR FURTHER INFORMATION CONTACT: If
                                                the Coast Guard Patrol Commander can                    you have questions on this temporary                  AGENCY:    Department of Veterans Affairs.
                                                be contacted on Marine Band Radio,                      deviation, call or email Judy Leung-Yee,
                                                                                                                                                              ACTION:   Final rule.
                                                VHF–FM channel 16 (156.8 MHz) for                       Project Officer, First Coast Guard
                                                direction.                                              District, telephone (212) 514–4330,                   SUMMARY:    The Department of Veterans
                                                   (4) The Coast Guard may be assisted                  email judy.k.leung-yee@uscg.mil.                      Affairs adopts as final, without change,
                                                in the patrol and enforcement of the                    SUPPLEMENTARY INFORMATION: The Route                  the final rule seeking comments
                                                regulated area by other Federal, State,                 82 Bridge, mile 16.8, across the                      published on October 3, 2012, amending
                                                and local agencies. The Coast Guard                     Connecticut River, has a vertical                     its regulations governing
                                                Patrol Commander and official patrol                    clearance in the closed position of 22                Servicemembers’ Group Life Insurance
                                                vessels enforcing this regulated area can               feet at mean high water and 25 feet at                (SGLI) and Veterans’ Group Life
jstallworth on DSK7TPTVN1PROD with RULES




                                                be contacted on marine band radio                       mean low water. The existing bridge                   Insurance (VGLI). Specifically, this rule
                                                VHF–FM channel 16 (156.8 MHz) and                       operating regulations are found at 33                 prohibits paying insurance proceeds
                                                channel 22A (157.1 MHz).                                CFR 117.205(c).                                       because of the death of a person
                                                   (5) The Coast Guard will publish a                      The waterway is transited by seasonal              (decedent) whose life was insured under
                                                notice in the Fifth Coast Guard District                recreational traffic and some                         SGLI or VGLI, or paying a SGLI
                                                Local Notice to Mariners and issue a                    commercial barge traffic of various                   Traumatic Injury Protection (TSGLI)
                                                marine information broadcast on VHF–                    sizes.                                                benefit to a person (slayer) convicted of


                                           VerDate Sep<11>2014   15:11 Apr 11, 2016   Jkt 238001   PO 00000   Frm 00017   Fmt 4700   Sfmt 4700   E:\FR\FM\12APR1.SGM   12APR1


                                                21466               Federal Register / Vol. 81, No. 70 / Tuesday, April 12, 2016 / Rules and Regulations

                                                intentionally and wrongfully killing the                definition. VA received comments from                 of federal law to preclude recognition of
                                                decedent or determined in a civil                       three individuals objecting to removing               marriages of same-sex couples, is
                                                proceeding to intentionally and                         the term.                                             unconstitutional because it violates
                                                wrongfully killing the decedent. This                                                                         Fifth Amendment principles by
                                                                                                        Public Comments Regarding Removal
                                                prohibition of payment also applies to                                                                        discriminating against same-sex couples
                                                                                                        of the Term ‘‘Domestic Partner’’
                                                any family member of the slayer who is                                                                        who are legally married under state law.
                                                not related to the decedent and to any                     Two commenters noted that some                     VA administers federal benefits and
                                                person who assisted the slayer in                       federal agencies, including VA, have                  programs that require defining ‘‘spouse’’
                                                causing the death of the decedent.                      expanded their program definitions of                 and ‘‘surviving spouse.’’ For purposes of
                                                Additionally, the term ‘‘domestic                       family members to include domestic                    VA benefits, 38 U.S.C. 101(3) and
                                                partner’’ is removed from the definition                partners. One commenter noted that a                  101(31) define ‘‘surviving spouse’’ and
                                                of ‘‘member of the family’’.                            Presidential Memorandum directed                      ‘‘spouse’’ as persons ‘‘of the opposite
                                                DATES: Effective Date: This final rule is               Federal agencies to extend certain                    sex.’’ However these definitions
                                                effective April 12, 2016.                               benefits currently available to Federal               (codified separately from DOMA) were
                                                FOR FURTHER INFORMATION CONTACT:
                                                                                                        employees’ spouses and their children                 not specifically addressed in the
                                                Monica Keitt, Attorney/Advisor,                         to Federal employees’ same-sex                        Supreme Court’s Windsor decision.
                                                Department of Veterans Affairs,                         domestic partners and their children.                 Then on September 4, 2013, the United
                                                Insurance Center, 5000 Wissahickon                      See Presidential Memorandum—                          States Attorney General announced that
                                                Avenue, Philadelphia, PA 19144, (215)                   Extension of Benefits to Same-Sex                     the President had directed the Executive
                                                842–2000, ext. 2905. (This is not a toll-               Domestic Partners of Federal Employees                Branch to cease enforcement of 38
                                                                                                        (June 2, 2010). One commenter noted                   U.S.C. 101(3) and 101(31), to the extent
                                                free number.)
                                                                                                        that other Federal agencies, such as the              they preclude provision of veterans’
                                                SUPPLEMENTARY INFORMATION: On
                                                                                                        General Services Administration, have                 benefits to same-sex married couples,
                                                October 3, 2012, VA published in the                    established through regulations
                                                Federal Register (77 FR 60304) a final                                                                        but was silent as to ‘‘domestic partners’’.
                                                                                                        definitions of family members that                    Accordingly, VA ceased to enforce the
                                                rule seeking comments that amended 38                   include domestic partners.                            definitional provisions in title 38 to the
                                                CFR 9.1 and 9.5 to prevent certain                         One commenter also stated that                     extent they preclude provision of
                                                persons from receiving insurance                        failure to include domestic partners in               veterans’ benefits, including SGLI,
                                                proceeds through the SGLI, VGLI, or                     the definition of ‘‘member of the family’’            VGLI, and TSGLI benefits, to same-sex
                                                TSGLI program as beneficiaries. The                     would allow a same-sex domestic                       married couples. As a result, VA
                                                rule prevents payment of proceeds to                    partner of a slayer to circumvent the                 administers spousal and survivors’
                                                any persons (slayer) found criminally or                regulation, while prohibiting                         benefits to same-sex married couples,
                                                civilly liable for intentionally and                    heterosexual spouses of a slayer from                 provided the marriages meet the
                                                wrongfully killing a person (decedent)                  receiving insurance benefits. This                    requirements of 38 U.S.C. 103(c).
                                                insured under SGLI or VGLI or who is                    commenter also stated that ‘‘. . .                    Section 103(c) provides that, for
                                                eligible for a TSGLI benefit. It also                   [i]ncluding domestic partners is                      purposes of all laws administered by
                                                prevents payment to any persons found                   important to prevent an aberration in                 VA, a veteran’s marriage is to be
                                                criminally or civilly liable for assisting              the rule . . .’’ and to ‘‘. . . prevent[ ]            recognized according to the law of the
                                                or aiding such a slayer and any member                  the unjust collection of life insurance               place where the parties resided at the
                                                of the slayer’s family who is not related               benefits.’’                                           time of the marriage or the law of the
                                                to the decedent by blood, legal                            Two commenters noted that the                      place where the parties resided when
                                                adoption, or marriage. In a proposed                    Department of Defense changed its                     the right to benefits accrued.
                                                rule published on December 13, 2011,                    military policies regarding openly gay                   On June 26, 2015, the Supreme Court
                                                (76 FR 77455), ‘‘domestic partner’’ was                 and lesbian servicemembers, thus VA                   in Obergefell v. Hodges, 135 S. Ct. 2584
                                                added to the definition of ‘‘member of                  should change its policy here, since VA               (2015), held that the Fourteenth
                                                the family’’ in 38 CFR 9.1(l) for the                   is a related agency that serves                       Amendment of the U.S. Constitution
                                                purposes of 38 CFR 9.5(e) to prevent                    servicemembers and their families.                    requires a state to license a marriage
                                                unjust enrichment of persons who are                       Two commenters also noted that VA                  between two people of the same sex and
                                                domestic partners of the slayer based on                has recognized domestic partnerships in               to recognize a marriage between two
                                                the rationale that these persons are often              other VA related matters. Specifically,               people of the same sex when their
                                                in relationships with the slayer                        the commenters pointed to VA’s                        marriage was lawfully licensed and
                                                equivalent to being ‘‘relatives’’ of the                hospital visitation policy allowing                   performed out-of-state, but again did not
                                                slayer. Then, in the final rule published               persons designated as domestic partners               include ‘‘domestic partners’’.
                                                on October 3, 2012, VA removed the                      to be beneficiaries for SGLI and VGLI                 Accordingly, VA now recognizes all
                                                term ‘‘domestic partner’’ from the                      benefits.                                             lawful same-sex marriages for VA
                                                definition of ‘‘member of the family’’ for                 Lastly, one commenter noted that                   purposes.
                                                the purposes of § 9.5(e) ‘‘due to the                   removal of the term domestic partner                     In light of Windsor and Obergefell, VA
                                                unsettled legal landscape surrounding                   ‘‘sends a message that VA may not be                  no longer enforces the title 38
                                                the recognition of such partnerships’’.                 willing to recognize domestic partners                definitions of ‘‘spouse’’ and ‘‘surviving
                                                77 FR at 60305. VA explained that                       as family in any context.’’ However,                  spouse’’ to the extent that they exclude
                                                because recognition of the legality of                  recent Supreme Court cases and the                    the recognition of same-sex married
                                                such relationships varies from state to                 United States Attorney General help to                couples. However, In other words, VA
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                                                state, VA determined that including                     clarify legally accepted definitions. On              provides benefits to all same-sex
                                                such partnerships in this part would                    June 26, 2013, the Supreme Court in                   ‘‘spouses’’ and ‘‘surviving spouses’’ of
                                                cause an undue administrative burden.                   United States v. Windsor, 133 S. Ct.                  veterans or, in the case of insurance
                                                Interested persons were invited to                      2675 (2013), held that the Defense of                 benefits, of servicemembers or former
                                                submit, on or before December 3, 2012,                  Marriage Act (DOMA), Sec. 3, Public                   servicemembers, to the extent they are
                                                written comments regarding removing                     Law 104–199, 110 Stat. 2419, defining                 otherwise eligible, based on a State’s
                                                the term ‘‘domestic partner’’ from the                  ‘‘marriage’’ and ‘‘spouse’’ for purposes              recognition of the validity of the


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                                                                    Federal Register / Vol. 81, No. 70 / Tuesday, April 12, 2016 / Rules and Regulations                                         21467

                                                marriage. However, VA does not                          difficulty in developing evidence to                  exclusion of the term ‘‘domestic
                                                currently provide all the same spousal                  establish that such standards are                     partner’’ through publication of the final
                                                benefits to either same-sex or opposite-                satisfied. The primary evidence of                    rule seeking comments. VA received
                                                sex domestic partners of veterans or, in                whether individuals were in a                         comments on the exclusion, and we
                                                the case of insurance benefits, of                      ‘‘committed relationship’’ often may be               considered those comments in issuing
                                                servicemembers or former                                the testimony of the individuals in that              this final rule. Additionally, we note
                                                servicemembers.                                         relationship. Such evidence may be                    that, since the publication of the
                                                  The comments we received                              difficult to obtain or may be unreliable              October 3, 2012, rule, no case has been
                                                essentially concern equal treatment of                  in relation to this rule, which, unlike               affected by the exclusion of ‘‘domestic
                                                same-sex couples and opposite-sex                       the examples cited by the commenters,                 partner’’ from the definition of ‘‘member
                                                couples. The Supreme Court in Windsor                   would preclude, rather than extend,                   of the family.’’
                                                and Obergefell accomplished that with                   benefits based upon the relationship.                    Based on the rationale set forth above
                                                regard to marriages but did not address                    Regarding a comment that excluding                 and the preamble in the final rule
                                                other relationships, such as domestic                   domestic partnerships from the                        seeking comments, VA adopts, without
                                                partnerships or legal unions. Thus,                     definition of ‘‘family members’’ may                  change, the rule published on October 3,
                                                those decisions do not affect VA’s                      result in unjust enrichment to certain                2012, at 77 FR 60304.
                                                decision to remove ‘‘domestic partner’’                 domestic partners of persons causing
                                                                                                                                                              Unfunded Mandates
                                                from the § 9.1(l) definition of ‘‘member                the death of an insured individual, we
                                                of the family.’’ Windsor and Obergefell                 acknowledge that this is a potential                     The Unfunded Mandates Reform Act
                                                have not changed the unsettled legal                    consequence of the rule. However, the                 of 1995 requires, at 2 U.S.C. 1532, that
                                                landscape surrounding the recognition                   alternative standards we have                         agencies prepare an assessment of
                                                of both same-sex and opposite-sex                       considered, including following varied                anticipated costs and benefits before
                                                domestic partnerships. For instance,                    state laws governing domestic                         issuing any rule that may result in an
                                                recognition of the legality of domestic                 partnerships or establishing our own                  expenditure by State, local, and tribal
                                                partnerships continues to vary from                     definition of ‘‘domestic partnership’’                governments, in the aggregate, or by the
                                                state to state and, because the term is                 based in part on subjective standards,                private sector, of $100 million or more
                                                not used consistently from state to state,              would also pose a risk of yielding                    (adjusted annually for inflation) in any
                                                there remains inter-jurisdictional                      inconsistent results and possibly                     one year. This final rule will have no
                                                confusion regarding use of that term.                   allowing unjust enrichment to certain                 such effect on State, local, and tribal
                                                Therefore, including domestic                           individuals in specific cases. We believe             governments or on the private sector.
                                                partnerships, of both same-sex couples                  we have appropriately balanced those                  Paperwork Reduction Act
                                                and opposite-sex couples, in the                        risks with the interests of clarity,
                                                definition of ‘‘member of the family’’ in               consistency, and administrative                         This final rule contains no provisions
                                                § 9.1(l) would cause an undue                           efficiency in determinations made                     constituting a collection of information
                                                administrative burden in applying 38                    under this rule. Accordingly, VA                      under the Paperwork Reduction Act of
                                                CFR 9.5(e).                                             declines to make any changes to this                  1995 (44 U.S.C. 3501–3521).
                                                   Two commenters suggested that VA                     rulemaking based on the above                         Executive Orders 12866 and 13563
                                                could establish its own uniform                         comments.
                                                definition of ‘‘domestic partnership’’                                                                           Executive Orders 12866 and 13563
                                                rather than relying upon varying state                  Justification for the Final Rule Seeking              direct agencies to assess the costs and
                                                laws. The commenters pointed to                         Comments                                              benefits of available regulatory
                                                regulations of other federal agencies                      One commenter noted that VA failed                 alternatives and, when regulation is
                                                establishing definitions of ‘‘domestic                  to provide good cause for dispensing                  necessary, to select regulatory
                                                partnerships.’’ We decline that                         with advance public notice and the                    approaches that maximize net benefits
                                                suggestion for the following reasons.                   opportunity for public comment.                       (including potential economic,
                                                First, it would create inconsistency                    Specifically, the commenter stated that               environmental, public health and safety
                                                between VA’s recognition of marriages,                  VA failed to provide a sufficient                     effects, and other advantages;
                                                which, under 38 U.S.C. 103(c), is                       justification for citing ‘‘public interest’’          distributive impacts; and equity).
                                                expressly based on state laws                           and ‘‘impracticability’’ as reasons for               Executive Order 13563 (Improving
                                                recognizing marriages, and VA’s                         proceeding without providing an                       Regulation and Regulatory Review)
                                                recognition of domestic partnerships or                 opportunity for advance notice and                    emphasizes the importance of
                                                civil unions, which, under the                          comment. We correctly identified public               quantifying both costs and benefits,
                                                commenters’ suggestion, could be                        interest as grounds for proceeding with               reducing costs, harmonizing rules, and
                                                inconsistent with state laws governing                  final rule seeking comments, but could                promoting flexibility. Executive Order
                                                recognition of such relationships.                      have been clearer in explaining that it               12866 (Regulatory Planning and
                                                Second, defining the term ‘‘domestic                    would have been against the public’s                  Review) defines a ‘‘significant
                                                partner’’ without regard to state law                   interest to delay implementation of the               regulatory action’’ requiring review by
                                                would require VA to undertake difficult                 slayer provisions for the purpose of                  the Office of Management and Budget
                                                and burdensome fact-finding actions                     receiving comments on the definition of               (OMB), unless OMB waives such
                                                under imprecise standards. We note that                 ‘‘member of the family.’’ We designed                 review, as ‘‘any regulatory action that is
                                                the other agency regulations cited by the               the rule to prevent slayers from                      likely to result in a rule that may: (1)
                                                commenters are varied and often                         benefiting from their wrongdoing, and                 Have an annual effect on the economy
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                                                employ vague and subjective standards,                  any delay in finalizing the rule would                of $100 million or more or adversely
                                                such as requiring a finding that the                    have potentially permitted slayers to                 affect in a material way the economy, a
                                                individuals are in a ‘‘committed                        receive benefits in violation of public               sector of the economy, productivity,
                                                relationship’’ or ‘‘agree to be responsible             policy and ethical concerns.                          competition, jobs, the environment,
                                                for each other’s common welfare,’’                      Nonetheless, on October 3, 2012, VA                   public health or safety, or State, local,
                                                which may lead to inconsistency in                      provided the public formal notice and                 or tribal governments or communities;
                                                application. Third, VA likely would face                an opportunity to comment on the                      (2) Create a serious inconsistency or


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                                                21468               Federal Register / Vol. 81, No. 70 / Tuesday, April 12, 2016 / Rules and Regulations

                                                otherwise interfere with an action taken                  Dated: April 7, 2016.                               Regulation Number 3. These revisions
                                                or planned by another agency; (3)                       William F. Russo,                                     became effective on February 24, 2016
                                                Materially alter the budgetary impact of                Director, Office of Regulation Policy &               as correctly noted in the rule preamble.
                                                entitlements, grants, user fees, or loan                Management, Office of the General Counsel,            The ‘‘EPA Effective Date’’ within the
                                                programs or the rights and obligations of               Department of Veterans Affairs.                       regulatory text for this action was
                                                recipients thereof; or (4) Raise novel                    For the reasons set forth out in the                inadvertently listed as January 25, 2016.
                                                legal or policy issues arising out of legal             preamble, VA adopts the final rule                    This correction revises the ‘‘EPA
                                                mandates, the President’s priorities, or                seeking comments published in the                     Effective Date’’ within the regulatory
                                                the principles set forth in this Executive              Federal Register at 77 FR 60304 on                    text to reflect the actual EPA effective
                                                Order.’’                                                October 3, 2012, as final without                     date of February 24, 2016.
                                                   The economic, interagency,                           change.
                                                budgetary, legal, and policy                                                                                  List of Subjects in 40 CFR Part 52
                                                                                                        [FR Doc. 2016–08381 Filed 4–11–16; 8:45 am]
                                                implications of this regulatory action                                                                          Environmental protection, Air
                                                                                                        BILLING CODE 8320–01–P
                                                have been examined, and it has been                                                                           pollution control, Carbon monoxide,
                                                determined not to be a significant                                                                            Incorporation by reference,
                                                regulatory action under Executive Order                                                                       Intergovernmental relations,
                                                12866. VA’s impact analysis can be                      ENVIRONMENTAL PROTECTION
                                                                                                        AGENCY                                                Greenhouse gases, Lead, Nitrogen
                                                found as a supporting document at                                                                             dioxide, Ozone, Particulate matter,
                                                http://www.regulations.gov, usually                                                                           Reporting and recordkeeping
                                                within 48 hours after the rulemaking                    40 CFR Part 52
                                                                                                                                                              requirements, Sulfur oxides, Volatile
                                                document is published. Additionally, a                  [EPA–R08–OAR–2015–0493; FRL–9942–84–                  organic compounds.
                                                copy of the rulemaking and its impact                   Region 8]
                                                analysis are available on VA’s Web site                                                                         Accordingly, 40 CFR part 52 is
                                                at http://www.va.gov/orpm/, by                          Approval and Promulgation of Air                      corrected by making the following
                                                following the link for ‘‘VA Regulations                 Quality Implementation Plans;                         correcting amendments:
                                                Published from FY 2004 Through Fiscal                   Colorado; Revisions to Common
                                                Year to Date.’’                                         Provisions and Regulation Number 3;                   PART 52—APPROVAL AND
                                                                                                        Corrections                                           PROMULGATION OF
                                                Regulatory Flexibility Act                                                                                    IMPLEMENTATION PLANS
                                                   The Secretary of Veterans Affairs                    AGENCY:  Environmental Protection
                                                hereby certifies that this final rule will              Agency (EPA).                                         ■ 1. The authority citation for Part 52
                                                not have a significant economic impact                  ACTION: Correcting amendments.                        continues to read as follows:
                                                on a substantial number of small entities                                                                         Authority: 42 U.S.C. 7401 et seq.
                                                                                                        SUMMARY:   The Environmental Protection
                                                as they are defined in the Regulatory
                                                                                                        Agency (EPA) published in the January
                                                Flexibility Act, 5 U.S.C. 601–612. This                                                                       Subpart G—Colorado
                                                                                                        25, 2016 Federal Register a document
                                                final rule will directly affect only
                                                                                                        concerning the approval of Air Quality
                                                individuals and will not directly affect                                                                      ■  2. Section 52.320(c), the Table is
                                                any small entities. Therefore, this                     State Implementation Plan (SIP)
                                                                                                        revisions to Colorado Common                          amended:
                                                rulemaking is also exempt pursuant to                                                                         ■ a. Under ‘‘5 CCR 1001–02 Common
                                                5 U.S.C. 605(b), from the initial and                   Provisions and Regulation Number 3.
                                                                                                        Inadvertently, the publication date of                Provision Regulation’’ by revising
                                                final regulatory flexibility analysis                                                                         entries ‘‘I’’ and ‘‘II’’;
                                                requirements of sections 603 and 604.                   January 25, 2016 was listed in the
                                                                                                        regulatory text under the heading ‘‘EPA               ■ b. Under ‘‘5 CCR 1001–05, Regulation
                                                Catalog of Federal Domestic Assistance                  Effective Date’’ instead of the effective             Number 3, Part A, Concerning General
                                                  The Catalog of Federal Domestic                       date of February 24, 2016. The correct                Provisions Applicable to Reporting and
                                                Assistance number and title for the                     EPA effective date was provided in the                Permitting’’ by revising entries ‘‘I’’, ‘‘II’’,
                                                program affected by this document is                    rule preamble. This document corrects                 ‘‘V’’, ‘‘VI’’, ‘‘VIII’’, and ‘‘Appendix B’’;
                                                64.103, Life Insurance for Veterans.                    the ‘‘EPA Effective Date’’ within the                 ■ c. Under ‘‘5 CCR 1001–05, Regulation
                                                                                                        regulatory text to February 24, 2016.                 Number 3, Part B, Concerning
                                                Signing Authority
                                                                                                        DATES: This correcting amendment is                   Construction Permits’’ by revising
                                                  The Secretary of Veterans Affairs, or                 effective on April 12, 2016.                          entries ‘‘II’’ and ‘‘III’’; and
                                                designee, approved this document and                    FOR FURTHER INFORMATION CONTACT:                      ■ d. Under ‘‘5 CCR 1001–05, Regulation
                                                authorized the undersigned to sign and                  Jaslyn Dobrahner, Air Program, U.S.
                                                submit the document to the Office of the                                                                      Number 3, Part D, Concerning Major
                                                                                                        Environmental Protection Agency                       Stationary Source New Source Review
                                                Federal Register for publication                        (EPA), Region 8, Mail Code 8P–AR,
                                                electronically as an official document of                                                                     and Prevention of Significant
                                                                                                        1595 Wynkoop Street, Denver, Colorado                 Deterioration’’ by revising entries ‘‘I’’,
                                                the Department of Veterans Affairs. On                  80202–1129, (303) 312–6252,
                                                April 6, 2016, Robert D. Snyder, Chief                                                                        ‘‘II’’, ‘‘III’’, ‘‘V’’, ‘‘VI’’, ‘‘X’’ ‘‘XIII’’,
                                                                                                        dobrahner.jaslyn@epa.gov.                             ‘‘XIV’’, and ‘‘XV’’.
                                                of Staff, Department of Veterans Affairs,
                                                approved this document for publication.                 SUPPLEMENTARY INFORMATION:    The EPA                    The revisions read as follows:
                                                                                                        published a document in the January 25,
                                                List of Subjects in 38 CFR Part 9                                                                             § 52.320    Identification of plan.
                                                                                                        2016 Federal Register (81 FR 3963)
                                                  Life insurance, Military personnel,                   concerning air quality SIP revisions to               *       *    *      *      *
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                                                Veterans.                                               Colorado’s Common Provisions and                          (c) * * *




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Document Created: 2016-04-12 00:47:18
Document Modified: 2016-04-12 00:47:18
CategoryRegulatory Information
CollectionFederal Register
sudoc ClassAE 2.7:
GS 4.107:
AE 2.106:
PublisherOffice of the Federal Register, National Archives and Records Administration
SectionRules and Regulations
ActionFinal rule.
ContactMonica Keitt, Attorney/Advisor, Department of Veterans Affairs, Insurance Center, 5000 Wissahickon Avenue, Philadelphia, PA 19144, (215) 842-2000, ext. 2905. (This is not a toll-free number.)
FR Citation81 FR 21465 
RIN Number2900-AN40
CFR AssociatedLife Insurance; Military Personnel and Veterans

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